Kroger, other grocers to try customized pricing

Grocers like Kroger Co. and Safeway Inc. are offering differing methods to determine individualized prices for their shoppers, the New York Times reported.

The retailers are hoping to improve razor-thin margins by creating specific offers and prices, based on shoppers’ behaviors, that could encourage more spending. The pricing model is expected to expand to other grocery chains, and eventually could displace standardized price tags.

Kroger, with the help of consumer research firm DunnhumbyUSA, sends frequent customers specialized coupons. About 70 percent of customers who receive those coupons use at least one. Kroger is now testing personalized prices via “other devices,” said Stuart Aitken, DunnhumbyUSA CEO.